NIGERIA: People in the streets of Lagos complain about deployment of security forces after the government agrees to cut petrol prices after days of strikes that paralysed the country whilst unions prepare their response

Record ID: 235470

  • Title: NIGERIA: People in the streets of Lagos complain about deployment of security forces after the government agrees to cut petrol prices after days of strikes that paralysed the country whilst unions prepare their response
  • Date: 17th January 2012
  • Summary: NEWSPAPERS HEADLINE FROM THE DAILY SUN READING 'Jonathan offers N97' (English) THE PUNCH HEADLINE 'Petrol now N97 per litre' (English) PEOPLE READING THE HEADLINES TRIBUNE HEADLINE 'FG pegs fuel at N97 per litre' (English) MAN AT NEWSPAPER STAND MAN RE-ARRANGING PAPERS ON THE STAND
  • Embargoed: 1st February 2012 12:00
  • Keywords:
  • Location: Nigeria, Nigeria
  • Country: Nigeria
  • Topics: Economy,Domestic Politics,Energy
  • Reuters ID: LVA8VBPPJPXGNLX1AEL58SA6RFU1
  • Story Text: Unions appeared to want to keep a hardline on Monday (January 16) against the government whose president, Goodluck Jonathan, announced a cut in petrol prices to 97 naira (N97) (0.60 US dollars).
    His move follows unsettling mass protests and crippling strike action against Jonathan's decision to scrap a petrol subsidy which more than doubled the pump price of petrol from 65 to 150 naira per litre overnight in a country where ordinary citizens are struggling to survive on very low incomes.
    Unions suspended the mass protest immediately after the announcement to allow for further negotiations with the government - but the main labour unions say strikes will resume pending further talks. The government says it will not back down on the lifting of the subsidy.
    Security has been deployed in the country's largest city of Lagos, angering residents already incensed by the oil hike.
    ''President Jonathan and his team of advisors have lost touch with reality, the idea is not about the amount, the idea is that you are coming against the voice of the Nigerian people, you do not decide that unilaterally, well what brought about 97, why not 94? What breakdown is that? What percentage growth is that? We are no longer stupid and he should not treat us and the rest of the world as if we don't know what is going on, we do. Today, we decided to stand peacefully just to express ourselves and they've sent the army to intimidate and to rough handle us, that is oppression," said one resident.
    Jonathan met union leaders late on Sunday in search of a compromise to end the strikes. But he said later the talks had "yielded no tangible result" and he would pursue a policy of removing subsidies seen as breeding waste and corruption.
    A senior official at Nigeria's umbrella Trade Union Congress and its main oil union PENGASSAN, said further talks with the government would be held on Monday morning and he hoped for progress that would allow a suspension of strikes.
    PENGASSAN previously said it would cut oil production if there was a complete breakdown of labour-government talks. Workers had suspended strike action over the weekend to give space for talks and allow protesters to rest.
    One businessman, Okeme Yusuf, says the issue is not just about the price of oil. It is about the high cost of living in general and he predicted that unions would harden their position unless they see progress in alleviating poverty.
    ''We knew that is where the government is going it to, taking it up at the end of the day negotiating with labour, coming to a certain level which will not still bring the price of commodity down, bringing it to 97 naira now. Will it bring the price of other essential commodity down? no, the answer is completely 'no' and that is why you see the labour (unions) is yet to take a resolution, a decision on the 97 naira till date. We are not in support of it," said Yusuf.
    Unions earlier said they would only cancel strikes and protests once the government brought down petrol prices back to 65 naira. But it would be a politically damaging climbdown for the government to slash the pump price back to 65 naira without any assurance of subsidies being removed in the future.
    Economists say the subsidy should be dropped because it is wasteful and open to corruption. Protesters have countered that argument by asking the government to work harder to tackle graft and waste before rescinding public benefits.
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